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China’s 42m people ‘mega city’

Interesting article here on plans for an integrated connurbation in south China that links up major cities. Sounds like quite a plan. This is perhaps the kind of thing that the auto industry needs to be tapping into in terms of talking to the authorities about how electric vehicles can fit the transportation side of the plan, mesh with clean air and public transport strategies.

There is also the industrial contribution that automotive could make to this new connurbation – new factories making EVs and associated components. If the vehicles are made there and there’s ready demand via incentives for users, large-scale procurement by local authorities and state enterprises, investment in infrastructure, it could all add up to being quite an opportunity a few years down the line. Kind of thing the visionaries/planners/politicians setting this thing up would like to talk about?

China to create largest mega city in the world with 42 million people

Cairo contagion fires up oil price

We’re nudging closer to $100 a barrel of crude oil. The tensions in Egypt making the news headlines are making oil traders nervous and adding to upward price pressures. But Egypt isn’t a big-scale oil producer, so why would that be? Here’s an interesting article summing it up… 

Cairo contagion

Singapore 4Q unemployment rate up tad at 2.2%

Singapore 4Q unemployment rate rises to 2.2% from 2.1% in the previous quarter as a relatively higher number of jobs are lost in the manufacturing and services sectors. 
 
The data are unlikely to prompt any policy changes as unemployment rate rise is marginal, but the government is likely to watch jobs reports closely as elections loom. 
 
In 4Q, 3,200 jobs were estimated to have become redundant vs 1,930 in 3Q. Data show 30,600 new jobs were added in 4Q vs 20,500 in 3Q. The unemployment rate shrinks to 2.2% in 2010 compared to 3.0% in 2009, the data show.
 
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DBS Vickers raises Olam’s target to $3.70

DBS Vickers raises Olam International’s (O32.SG) target to $3.70 from $3.60, and reiterates its Buy call on the back of higher commodity prices and expected earnings from recent acquisitions. 
 
“We reiterate our Buy call on the stock for 19% upside to our revised target price. With earnings growth momentum intact from acquisitions, and diversified portfolio and geographic locations, we believe Olam remains undervalued. Strong 2Q11 and 3Q11 earnings should provide catalysts for share price appreciation,” DBS Vickers says. 
 
Olam is down 0.6% at $3.09. 
 
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EUR/USD Performance Chart as at 3:30 a.m. Singapore time, 28/01/11

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GBP/USD Performance Chart as at 3:30 a.m. Singapore time, 28/01/11

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AUD/USD Performance Chart as at 3:30 a.m. Singapore time, 28/01/11

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STI +0.3%; rig builders rise; UOB remains cautious

The STI is +0.3% at 3231.62, extending gains in the afternoon helped by gains for rig builders after Keppel Corp. (BN4.SG) announces yet another order win. 
 
Overall market volume is tepid at 975 million worth $953 million, with 272 gainers and 1823 decliners. After the STI made a sharp 1.2% rise yesterday, UOB KayHian says “technicals may appear to be turning positive but we advise investors not to plunge into the market.” 

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EUR/USD Performance Chart as at 8:00 p.m. Singapore time, 26/01/11

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GBP/USD Performance Chart as at 8:00 p.m. Singapore time, 26/01/11

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AUD/USD Performance Chart as at 8:00 p.m. Singapore time, 26/01/11

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Sri Trang Agro shares slump after setting Singapore IPO price

Sri Trang Agro-Industry Pcl shares fell the most since August 2005 in Bangkok trading after saying it will sell stock in Singapore at $1.20 a share.
 
The stock fell as much as 16%  to 31 baht as of 11:31 a.m. local time.
 
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Mercedes-Benz World

I visited ‘Mercedes-Benz World’ at Brooklands, in Surrey, last week. Think mega-dealer, museum, theme park crossover. It’s a kind of ‘brand cathedral’ – well, a mini one compared with what they have in Stuttgart, but it’s still pretty impressive.

It’s right next to the Brooklands Museum, so if you are ever planning a visit for a browse, you could easily combine the two.

While I was there they let us have a go on the ‘AMG Experience’ and that was well worth putting an hour aside for. Most fun I have had this year and you just can’t get bored with the traction control off and 6.2 litre-V8 power going through the rear wheels on the wet skid circle.

The events listing caught my eye, too. I quite fancy the ‘Last Night of the Brooklands Proms’; might be fun on a summer evening after a few glasses of vino. If they have fireworks too, I’m going for definite and dusting off the Union Jack jacket. I’m not so sure about the ‘Disco Symphonic Spectacular’…

One thing though. I’d love to know how much M-B World has cost and what the view is inside Daimler HQ on the benefits it has brought to the Mercedes brand in the UK. It’s a long game, I guess. And it is also something that BMW doesn’t have in this market. Is BMW bothered?

Mercedes-Benz World

COMMENT: UK industry needs to sell itself better, starting with UK Gov

ComfortDelGro expands taxi presence in China

Singapore’s ComfortDelGro (CMDG.SI) said its subsidiary in China has been awarded 800 new taxi licences by the Chengdu Municipal government, making it the second largest taxi operator in the city with 1,050 taxis.
 
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Bank of Moscow seeks 2-year Singapore dollar bond – IFR

Russia’s Bank of Moscow (MMBM.MM) plans a 2-year bond, denominated in Singapore dollars, IFR reported on Monday.
 
The bank, among Russia’s top-10 in terms of assets, has mandated ING and UBS as joint bookrunners and joint lead managers for the issue, IFR added.
 
It did not specify the planned issue amount, saying the transaction is expected to be launched in the near future.
 
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Thai bourse halts Sri Trang before Singapore IPO news

The Thai Stock Exchange said it had suspended trading in Sri Trang Agro-Industry Pcl (STA.BK) on Monday ahead of an announcement on the pricing of its Singapore initial pubic offering (IPO) later in the day.

The company is expected to raise up to $360 million (through a listing in Singapore. 

 
The rubber maker has set the IPO price at maximum $1.60 per share, it said in a statement to the Thai stock exchange.
 
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EUR/USD Performance Chart as at 3:00 a.m. Singapore time, 21/01/11

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GBP/USD Performance Chart as at 3:00 a.m. Singapore time, 21/01/11

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AUD/USD Performance Chart as at 3:00 a.m. Singapore time, 21/01/11

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Traffic jam solution, China-style

Next time you are stuck in gridlocked traffic and you’re late for your meeting or a flight, maybe reflect on this. Anywhere else, it sounds like an urban myth, but somehow I can imagine this in China… 

Chinese businesses see a gap in traffic jams